Kenneth Fienberg discusses BP damage claim payments

Kenneth Feinberg, the lawyer who ran the compensation fund for victims of September 11, is now the lawyer in charge dispersing Gulf Oil spill funds. Feinberg said that this case will be much more difficult.

Feinberg met with the House of Representatives Committee on Small Business and told them that even with the $20 billion fund, it will not be enough to pay all of the claims needed. The indirect damage claims are what he says will be the most challenging to pay out.

For example, a hotel that did not receive physical damage, but the oil spill lead to loss in tourism causing them to lose revenue. Judging damages to real estate will be hard to determine because being compensated for loss of property value is hard to measure.